DMIT_Annual_Report_2018_EN

Dar Al-Maal Al-Islami Trust 7 Dollar, stabilized during 2018 at an average rate of L.E. 17.65. Further improvement was also witnessed against world’s currencies. As a result, FIBE maintained its leadership in Islamic banking activities within the Egyptian market and strengthened its competitive position considerably on local and regional levels. Branch network expanded horizontally during 2018 and reached 36 branches, while another four new branches are planned for 2019. As per new regulatory rules in Egypt, the minimum Capital Adequacy Ratio (“CAR”) increased in 2018 to 11.875%. Despite its impact, the banking sector in Egypt appears to have digested, the effect of IFRS 9 during 2018, which reflects soundness of the banking sector in Egypt. FIBE has continued its policy of strengthening its capital base and mitigating the risks related to its activities. As 31 December 2018, the CAR for FIBE reached 17.13% compared with a regulatory minimum requirement of 11. 875% FIBE’s net profit after tax in 2018 amounted to L.E. 2,519 million ($ 142 million) compared with L.E. 1,722 million ($ 97 million) in 2017. The result for 2018 represents an impressive increase of 46% over 2017. Total assets in 2018 amounted to L.E. 93.8 billion ($ 5.2 billion) represents an increase by 14% over December 2017 of L.E. 82.6 billion ($4.7 billion). Total equity reached L.E. 11.7 billion ($ 655 million) compared to L.E. 9.2 billion ($ 522 million) for the previous year. The most important source of funds for the Bank, savings pools and investment certificates (funds under management) increased by 11%, from L.E. 71.1 billion ($4.01 billion) in 2017, to L.E. 79.1 billion ($ 4.43 billion) in 2018. The shareholders approved distribution of cash dividend at 8 Cents per share and 20% bonus shares. FIBE will continue to play a pioneering role in the development of Islamic banking in Egypt and consolidation of its position. Looking forward to 2019 and beyond, the external environment continues to present some challenges especially as global growth remains uncertain and oil prices volatile. The Board of Supervisors will continue to oversee the implementation of the second phase of the Group’s strategy, enhancing the utilisation of the capital and improving returns, while strengthening our organisational health and operating efficiency. We are optimistic that the investments made have positioned the Group to capture more business. The coming years will witness acceleration in our digital transformation and expansion in retail network across business and geographies. I express my gratitude to the entire Group’s staff for their hard work, loyalty, commitment and adaptability in a year of significant changes. On behalf of the Board of Supervisors, I would like to thank our participants for their continued support, the Religious Board for its counsel and guidance. Allah is the purveyor of success. Amr Mohammed Al Faisal